Closing the gap

Virginia has a shaky economy and budget holes in the billions. When the 2002 General Assembly session kicks off on Wednesday, the operative word will be "pain."

Talk to state legislators, and you'll hear variations of the same theme: It will be a struggle to keep what we have.

Talk to incoming Gov. Mark R. Warner, and you'll hear him describe it in larger proportions.

"We are looking at a problem that is bigger than the current budget cycle," he said Friday after meeting legislative leaders.

Together, Warner and legislators must close a $1.3 billion gap to balance the books by June 30, when the fiscal year ends. Then they must pass a two-year budget for 2002-04 that has a projected gap of $2.1 billion. Both numbers come from a recent state Senate report.

Still, there appears to be some meat on those bare bones. During the 60-day session, legislators will haggle over issues that are close to home, such as money for public schools, paychecks for state workers and public safety.

For Peninsula residents, the high drama should come with transportation. Legislators will fight over whether the state should generate more money for road projects by allowing voters to raise regional taxes, fees or tolls via a referendum.

It's the top legislative issue for the two places in Virginia where traffic is the biggest headache: the Washington suburbs and Hampton Roads.

Significantly, the two chairmen of the General Assembly's transportation committees -- one in Newport News and one in Northern Virginia -- both support the idea and have promised to work for each other's proposal. That's heartening to Sen. Marty Williams, R-Newport News, who welcomes the aid of Del. John A. Rollison III, R-Prince William.

"I think that will help things a great deal," Williams said. "Their problems might be more desperate than ours, but every indication is we're heading there."

Each region will float separate proposals. In Northern Virginia, supporters will call for raising the sales tax. In Hampton Roads, Williams hasn't yet decided what mix of financing he'll include.

Steering this through the General Assembly won't be easy. Williams might have to fend off hostile attempts to amend the bill. If he gets it through the Senate, he'll be pulling for Rollison to get it through the House of Delegates. "It will be a struggle," Williams said.

If it gets out of the General Assembly, the battle should be won. Warner supports the idea of a voter referendum, and if a Hampton Roads bill reaches the governor-elect's desk, Williams said, "I would bet my Senate salary for a year that he would sign it."

Apart from transportation, look for plenty of debate over school financing. General Assembly investigators recently concluded that the state must spend an extra $1.06 billion just to cover "routine updates" for the Standards of Quality, which set minimum standards for school divisions.

"It will be interesting to see how the General Assembly responds to that report," said Rob Jones, director of governmental relations for the Virginia Education Association.

Salaries are another hot button.

Gov. Jim Gilmore has proposed 2-percent raises for the state work force, including teachers. Warner has promised to raise teacher salaries to at least the national average before he leaves office in four years.

Raises are a sore spot for many because the 2001 budget impasse resulted in no state money for raises. Jones said teachers wanted to see more than 2 percent this year.

"Times are tight, but what's in the budget is wholly inadequate," he said. "We're hoping Warner will put a plan before us. We would like to see the plan for four years ahead."

In higher education, some legislators want to borrow money to fix crumbling buildings at colleges and universities, as well as start other construction projects. The top budget writer in the House -- Vincent F. Callahan Jr., R-Fairfax -- has made this his top priority.

On Friday, Warner hosted Chichester, Callahan and other leading legislators for a private briefing. Warner said he would weigh in later on the borrowing-vs.-spending debate. For now, he's encouraged that everyone is talking with each other.

Finally, there's the fallout from the Sept. 11 terrorist attacks. Gilmore, in his proposed budget, set aside $20 million in a Security and Preparedness Fund. He didn't identify ways to spend it, leaving it to Warner, the General Assembly and a state panel on security.

Gilmore leaves office in a matter of days, and Warner could decide to divert some of the $20 million to other priorities. Warner panned Gilmore's budget when it was introduced Dec. 19. On Friday, he wouldn't say how much of Gilmore's plan will end up on the cutting-room floor, but Warner will introduce a series of budget amendments later this month.

"I think the governor's budget," he said, "is a good starting point."

The terrorist attacks and the corresponding rise in patriotism appear to have affected the legislative workload. Among the nearly 200 bills pre-filed in the House of Delegates, three are for special license plates bearing the slogans "God Bless America," "One Nation Under God" and "Proud to be an American."